Q4 presentation available for viewing:
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I’ve looked through it, and I can be very confident about the future even after that. The Q2 2020 rocketing might have even been a bit detrimental because it messed with many investors’ minds, making them think that similar growth would occur every quarter (even though it was clearly stated to be a one-off…). But now there are ingredients for very good 25-30% annual growth for a long time. Related to this, have you, @SuperB or any other forum member, seen any analyst estimates for financial development in 2021/22/23? I checked Yahoo Finance, and the P/E ratio has dropped to just over 30, which is already starting to be attractive, assuming that such growth materializes and with current profitability. However, I’m not always sure about those YF figures and how well they hold up 
A quick glance at the report reveals this:
“Due to the positive development in financial figures, divestment of Biotec BetaGlucans and forecast for the future, the Company recognised profit loss carried forward as a deferred tax asset on the balance sheet per 31.12.2020. This had a positive income tax effect of NOK 33.0 million in the fourth quarter of 2020.”
When this is removed, the EPS drops to around NOK 1. In the last quarter, the EPS without the tax effect was NOK 0.12, considering only the results of continuing operations. It will take some time to improve the results for the P/E to even be close to 30.
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Italy to invest in biotech ReiThera to support COVID-19 vaccine development (yahoo.com)
Let’s see how that takes off, AZT is prepared to support ReiThera.
SAN customers 100+, COVID has hampered development.
Orders have started coming from China, India is still pending.
A new large European pharma company that conducted an audit in late previous year has started placing non-COVID-related orders.
Indeed, Q2 COVID upside:
✓33% contribution to total sales
✓Served all commercial needs during the peak
✓Upscaled the production batch size for COD UNG ( Enzymes from Norwegian cod are used for COVID-19 tests (tekna.no) )
Looking at the long-term earnings trend, the development is quite steady.
I’ll let the numbers speak for themselves in the future; I won’t comment on them.
Those interested in this company should follow laBull and zimp_a on Twitter. Arcticzymes also has its own Facebook community where this thread has been noticed.
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Good points from both @SuperB @AMK-student. I’ve been pondering that despite good prospects, the valuation is still relatively tight. Of course, AZT’s prospects are really good far into the future, and the market value is still very low, so there’s a lot of room for growth.
These micro-caps are indeed interesting. No official or even unofficial news has come out since the Q4 report, but the stock has still corrected almost +20% since the “earnings dip”.
ArcticZymes has been slightly overweight in my portfolio, so I lightened up a bit today to raise cash.
Some news, pretty good buzz going on.
Reithera, which is developing a COVID-19 vaccine, receives 40 million euros in direct aid from the EU (ArcticZymes collaboration in the vaccine).
ArcticZymes to the Oslo main index.
Osavuosiraportti
https://newsweb.oslobors.no/message/530774
Highlights from Q1 2021
-
ArcticZymes Technologies (AZT) had Q1 sales of NOK 40.4 million growing by 119% (Q1 2020: NOK 18.5 million)
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Coronavirus-related sales are estimated at NOK 16.5 million in Q1 2021 (NOK 3.8 million in Q1 2020)
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Gross profit improved to NOK 39.9 million with 99% margin (Q1 2020: NOK 18.5 Million)
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AZT delivered a positive EBITDA of NOK 25.8 million (Q1 2020: NOK 9.0 million)
-
Cash-flow for Q1 was positive NOK 23.2 million (Q1 2020: NOK 4.4 million) giving a cash balance of NOK 163.3 million (Q1 2020: NOK 35.7 million)
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Successfully upscaled the SAN HQ production process
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That gross margin is moderate 
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Arcticzymes supplies SAN salt nuclease (SAN-suola nukleaasia) to Reithera for the vaccine.
Paretol (Paretol) this morning gave a target price of 135 for the AstraZeneca (AZT) share
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Q2 report coming next Thursday. Has anyone (@SuperB) been following the news recently, what are the expectations?
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Marketscreener shows an estimate of 30 MNOK revenue and 14 MNOK EBIT. This is based on one analyst’s forecast, which must mean Pareto, as they are the only analyst firm to have provided a target price.
I’ve been following it, maybe a little too much.
- 100x San-HQ production capacity at the end of the last quarter.
- San 2.0 launched, with sales starting at the end of Q3, enabling a broader customer base.
- Lab-a-porter new distributor.
- New MDx customer.
- Virus X report completed - behind paywall.
- Arctic products starting to appear on Chinese websites.
- COVID-19 testing has not decreased.
- Two large cGMP auditors mentioned in the last quarter.
- Institutional ownership has increased.
- Reithera’s funding issues complicate and delay vaccine approval. Fortunately, those who have received two vaccine doses have been granted a green pass with a special permit. Speculation that Mexico will be involved in the next phase.
- There has been speculation about another COVID-19 vaccine manufacturer, but the name has not been released (Sanofi has appeared in Norwegian forums, speculation).
- Goal to add to the portfolio within 2-3 years. Personal suspicion is that the company will also start to attract potential buyers.
- Global enzyme market growth expected to grow by 9.4% by 2027 (CAGR), earlier forecast 7%.
- Pareto weakened its recommendation from 135 NOK to 133 NOK.
- Has the COVID-19 situation complicated sales or new agreements?
- Cyclicality of orders?
Sources:
https://lab-a-porter.com/2021/06/novel-enzymes-from-the-arctic/
Generally, people have rather modest expectations, and systematically downplay/underestimate COVID-19 revenues. Good quarterly results have come from customers and similar companies.
In this company’s case, too, trust your own research and don’t listen to what others say.
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Highlights from Q2 2021
· ArcticZymes Technologies (AZT) had Q2 sales of NOK 21.4 million - a
reduction of 36% (Q2 2020: NOK 33.4 million)
· Coronavirus-related sales are estimated at NOK 4.5 million in Q2 2021 (NOK
11.0 million in Q2 2020)
· Gross profit reduced to NOK 21.6 million as a result of lower sales (Q2
2020: NOK 33.0 million)
· AZT generated a positive EBITDA of NOK 6.0 million (Q2 2020: NOK 22.5
million)
· Cash-flow for Q2 was positive NOK 13.6 million (Q2 2020: NOK 20.4 million)
giving a cash balance of NOK 177.0 million (Q2 2020: NOK 56.1 million)
· Launched SAN HQ 2.0 at the end of the quarter
· Increased ownership in ArcticZymes AS from 96% to 100% by contribution in
kind
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